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Fulfillment Solutions, an Integral Part of Supply Chain Solutions 

Supply chain can be defined as the movement of products or services from the suppliers to the customers.

 

 
 
Tags:  fulfillment solutions  order fulfillment  retail distribution  Returns Management  supply chain solutions 
Views:  138
Published:  January 27, 2012
 
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Slide 1: Fulfillment Solutions, an Integral Part of Supply Chain Solutions Supply chain can be defined as the movement of products or services from the suppliers to the customers. That is to say, in a supply chain the supplier provides raw materials to the manufacturer, the manufacturer supplies the finished goods to the distributor, which then passes on to the retailer and finally to the customer. However, before the product reaches the customer, it goes through the hands of the fulfillment house. Hence, it is highly necessary that a business enterprise have a state-of-the-art fulfillment department to deliver products to the customers without any damage, delay and confusion. They are an important part of forward logistics and reverse logistics. Though some companies have their own fulfillment department it is not a feasible option when a company plans to expand its market. Hence, it is always fruitful to take the services of a fulfillment service provider. The fulfillment solutions provided by service providers include the following: Storage and Warehousing Until the orders for the items come in, the products must be stored in a safe and secure place. Not only that, the service provider must make sure to place the products in those conditions that are essential to their longevity. Apart from taking typical storage measures for protecting the products from pests, insects, animals, rain and moisture, the fulfillment department must also ensure to provide additional facilities depending upon the kind of products stored. For instance, perishable products require refrigeration, while those products that react to extreme heat and cold, the temperature should be set to suitable degrees. Inventory The fulfillment department maintains an inventory of the number of finished goods in their warehouses. Such a move help companies not only in placing orders and but also in controlling losses due to obsolescence and spoilage. Since finished goods are an important business asset, steps must be taken to ensure that the companies have neither very high inventory nor very less. Order Processing When a customer places an order, the order fulfillment department must take all the necessary steps to ensure that the customer receives the most recent products that too in quantities as ordered by the customer. Packaging and Shipping Be it for retail distribution or for product delivery to a customer, the kind of packaging done must depend on the kind of product being shipped. So depending upon the type, the packaging can be retail box, RF sealing clamshell packaging, blister pack, shrinkwrap, and so on. Returns Management A well-equipped fulfillment department would also take care of the returns and exchange requests that too according to the policies of the companies and organizations. That is why fulfillment solutions are increasingly becoming an integral part of supply chain solutions

   
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